Binance Launches USTC Perpetual Contract to Capitalize on Terra Tokens Rally

by Nik Asti

Published: November 27, 2023 at 6:45 am Updated: November 27, 2023 at 6:45 am

by Victor Dey

Edited and fact-checked:
November 27, 2023 at 6:45 am

In Brief

Binance recently announced the launch of a USTC perpetual contract that offers traders up to 50x leverage.

Binance Launches USTC Perpetual Contract Amid Terra Tokens Rally

Binance has taken a significant step forward by announcing the launch of a USTC perpetual contract with up to 50x leverage. The move aligns with the recent price surge in TerraClassicUSD (USTC) and Terra Classic (LUNC), marking a key development in the crypto trading arena.

Binance plans to introduce the USD-M USTC Perpetual Contract, which offers traders up to 50x leverage. The exchange will launch this new addition to its futures trading portfolio at 12:30 UTC on November 27. It reflects the exchange’s ongoing efforts to enhance its trading options.

The USTC perpetual contract comes with a unique set of trading conditions, including a four-hour funding fee settlement with USDT as the settlement asset.

Binance has set the maximum funding rate for this contract at +2.00% / -2.00%. Additionally, it incorporates Multi-Asset Mode, allowing trading across multiple margin assets, offering traders increased flexibility and diversified strategies.

To encourage liquidity in this new market offering, Binance is offering a 0.005% maker fee rebate to qualified liquidity providers in USDⓢ-margined futures. This incentive is expected to last around two weeks, and aims to attract more participation in the USTC perpetual market.

USTC’s Market Dynamics

The launch has sparked excitement within the crypto community. It also raised questions about potential prior knowledge among investors, given the timing of the Terra tokens’ rally. This development highlights Binance’s agility in responding to market trends and its commitment to broadening trading opportunities for its users.

Binance’s introduction of the USTC perpetual contract signifies a strategic response to the dynamic cryptocurrency market.

This move showcases the exchange’s commitment to offering diverse trading options. As Binance continues to adapt, it further aims to expands its services. Consequently, it remains a key player in shaping the landscape of crypto trading.

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About The Author

Nik is an accomplished analyst and writer at Metaverse Post, specializing in delivering cutting-edge insights into the fast-paced world of technology, with a particular emphasis on AI/ML, XR, VR, on-chain analytics, and blockchain development. His articles engage and inform a diverse audience, helping them stay ahead of the technological curve. Possessing a Master’s degree in Economics and Management, Nik has a solid grasp of the nuances of the business world and its intersection with emergent technologies.

Nik Asti